Canadian Eco Oro to appeal Colombian court order
Eco Oro Minerals Corp. (TSX:EOM) announced Friday it has received a ruling from the Ninth Circuit Administrative Court of the City of Bucaramanga, Colombia, which orders the Ministry of Mines and Energy to initiate administrative and/or judicial actions to "leave without effect resolution 3452" (the "Order"), which the Court characterizes as a permit to develop mining exploration activities in an open pit in the Paramo of Santurban. In fact, concession contract 3452, the Company's principal mining title, makes no reference to an open pit in the Paramo of Santurban.
The Ruling relates to an action filed by an individual in June 2010, which sought to "leave without effect" Eco Oro's environmental license to proceed with developing the Company's Angostura Projectas an open pit mine. In fact, no such license existed. Furthermore, in 2011, the Ministry of Environment and Sustainable Development denied the Company's 2009 request for an environmental license for the development of an open pit mine at the Angostura Project. The Court was aware of these facts and Eco Oro expected that the Court would dismiss all demands and the action would be concluded without consequence. However, although the Court dismissed all demands, its Ruling contains the Order, which goes beyond the requests and purports to affect the Company's rights under concession contract 3452.
Eco Oro's legal advisors have confirmed that the Order exceeds the Court's authority. The Company will appeal the Ruling before July 25, 2012 before the Administrative Tribunal of the Department of Santander. Once appealed, the Order will be suspended until the Administrative Tribunal of theDepartment of Santander renders a decision. If the Ministry of Mines and Energy abides by the Order and initiates any administrative and/or judicial actions, the Company will take all legal steps necessary to protect its rights under concession contract 3452. Concession contract 3452 is currently in good standing and remains in force and the Order has no effect on the Company's current activities.
The Company will provide updates as significant developments occur.